US energy giant Chevron abandoned its plans related to exploration and extraction of shale gas in Lithuania

Mining and quarryingsector demonstrated vivid growth.

In January-November 2013, mining production increased by 10.7 per cent at constant prices on an annual basis.

However, the sector also faced some disappointing news.

At the beginning of October 2013, US energy giant Chevron abandoned its plans related to exploration and extraction of shale gas in Lithuania just a month after being announced a winner in the shale gas tender.

The company mentioned shortcomings in the regulatory environment as the main reason behind its withdrawal, with legislative changes being made even after announcement of the winner of the tender.

According to official Chevron’s comments, significant changes to the fiscal, legislative and regulatory climate in Lithuania have substantially impacted the operational and commercial basis of the investment decision since the company submitted its bid in January 2013.

The public opinion also laid blame on the passivity of the government while Prime Minister said that the reason behind Chevron’s withdrawal was the parliament’s request for environmental impact analysis.